Conch Capital

Happy 2023 🎊🎈🎉

Happy New Year!

Two most important tenets while investing our financial capital for returns: “asset allocation” and “patience for investing in equities”.

Happy Janamastami!

Choose right investment scheme for retirement or long term income - Insurance Schemes Decoded

🌸 HOLI ki Subhkamnayen 🌸

Asset Allocation- Protection of capital, steady returns and benefiting from market volatility.

Happy New Year 2021 ✨✨

Financial Planning: Plan for all stages of life

Should you subscribe to NFO?

Debt Funds: Less glamorous but essential asset class

COVID-19 Driven Market Volatility: Invest, Stay-out, Or Go-All-Cash?

Fear of missing out opportunities Vs long term wealth creation goal

Hedge against market volatility and black swan events

The threat of coronavirus disease (COVID-19) triggered pandemic has rocked financial markets world over. COVID-19 is now being termed as a BLACK SWAN event one that is normally unpredictable, sudden with severe consequences and on hind side seemed obvious. Governments across the globe are struggling to contain its spread and have virtually halted mobility of people across and within borders.

Stock markets have seen sharp and deep falls each passing day; NIFTY 50 index is at 8,541 level, which is 31% down already from the recent high of 12,362 level scaled in January 2020. Such sharp falls have eroded value of shareholders’ portfolio and shaken their confidence in investing on market linked financial products. Human psychology of Greed and Fear in increasingly interconnected world and adoption of cutting edge technology by financial market players will lead to such market events more often posing grave downside risks to portfolios of unprepared investors.

To avoid value erosion and benefit from sudden changes or volatility in the market, adopting disciplined approach of allocating capital in diversified assets and re-balancing the portfolio can prove a sustainable solution to maximizing returns and achieving financial goals.

For common investors who manage their own financial capital, diversification in capital allocation can be achieved by investing in Equity, Debt and Liquid assets. The proportion of asset allocation in each asset class can vary based on risk profile of individual investor as per her or his age, nature and extent of income, net worth and investment time horizon.

A well diversified portfolio not only provides stability in returns it also resists sharp downwards moves in value of capital invested. Moreover, market volatility and rare Black Swan events are triggers when a well diversified portfolio needs re-balancing to take advantage of fallen asset class for maximizing medium to longer term returns. This opportunity stems from the very nature of each asset that usually reacts to market events and volatility distinctly from each other. In an event like we facing now, the liquid funds and sovereign gilt funds are not affected whereas the equity funds have been tumbling in tune with overall market.

In a well diversified portfolio, the role of liquid asset can not be overemphasized in times like these, asset in this category not only can be tapped into for emergencies but also as a fresh dose of investment into fallen asset class for maximizing longer term returns on the portfolio.

Note: Do consult your investment adviser before making fresh investments or re-balancing your financial portfolio.

This time it is different..... as we hear often whenever market is rattled by events (case in point is COVID-19), but past 40 years of Indian Market's history tells us how to deal with it - Diversification of portfolio and daring to invest when all are scared... of course both points are applicable mainly for longer term MF investors only as individual companies can go bust as well.

Thought of attaining the goal of financial independence has to start with holistic planning. Mutual funds are of course a great investment vehicle for wealth creation but understanding the risk Vs return expectations over a time horizon is equally important aspect of that planning.

Stay calm during volatile times, rather capitalize on opportunities arisen in specific asset class / funds!

Investment success on a longer term is largely determined by the mixture of asset in a portfolio. >80% success is attributed to asset allocation and

One of the most ignored aspect of portfolio is to having it structured to start with and re-balancing it based on goals and market situations.

Key Financial Investment Avenues available in regulated markets for low-risk appetite investors

Key Financial Investment Avenues available in regulated markets for high-risk appetite investors